New Delhi: AVNL engine localisation has reached a major milestone as India’s defence PSU, Armoured Vehicles Nigam Limited (AVNL), has successfully achieved 100% indigenisation of engines used in key combat platforms—T-90, T-72 tanks and BMP-2 infantry combat vehicles.
This development significantly reduces India’s dependence on Russia for critical military components and strengthens the country’s push towards Aatmanirbhar Bharat in defence manufacturing. The move is expected to enhance operational readiness, reduce costs, and improve long-term sustainability of India’s armoured fleet.
Details of AVNL Engine Localisation
Armoured Vehicles Nigam Limited (AVNL), a Defence Public Sector Undertaking (DPSU), has confirmed that:
- Engines for T-72, T-90 and BMP-2 platforms are now fully indigenised (100%)
- This eliminates reliance on foreign suppliers for engine manufacturing
- The milestone has been achieved through sustained R&D and localisation efforts
According to AVNL’s official statutory report, “100% indigenisation of engines for all three platforms has been achieved.”
What is the Importance of AVNL Engine Localisation
1. Reduces Dependence on Russia
India has historically relied on Russian-origin platforms like T-72, T-90 and BMP-2. Earlier, engine components and technologies were imported or license-produced.
Now:
- No dependency on Russian engine supply chains
- Better control over spare parts and maintenance
2. Strengthens Aatmanirbhar Bharat
This achievement aligns with the Government of India’s push for self-reliance in defence.
- Promotes domestic manufacturing
- Encourages Indian private and public sector participation
- Reduces foreign exchange outflow
3. Improves Military Readiness
Local production ensures:
- Faster availability of engines and spare parts
- Reduced downtime of tanks and combat vehicles
- Better lifecycle support for Indian Army assets
India operates:
- Over 2,400 BMP-2 vehicles
- Large fleets of T-72 and T-90 tanks
This makes engine localisation a critical strategic advantage.
About Armoured Vehicles Nigam Limited
- AVNL was formed in 2021 after restructuring the Ordnance Factory Board
- It is India’s primary manufacturer of:
- Tanks (T-72, T-90)
- Infantry Combat Vehicles (BMP-2)
- Military engines
Its Engine Factory Avadi unit has long been the only production hub in India for these engines.
What About Overall Localisation Levels?
While engines are now fully indigenous, overall platform localisation is still progressing:
- T-72: ~96% indigenised
- T-90: ~80–90%
- BMP-2: ~98%
A few components (like specialised instruments) are still being localised, but efforts are ongoing.
What is the Impact of AVNL Engine Localisation
Defence Independence
India can now maintain and upgrade its armoured fleet without external pressure or delays.
Cost Savings
Local production reduces:
- Import bills
- Logistics costs
- Currency outflow
Export Potential
With indigenous capability, India can:
- Offer upgrades and engines to friendly countries
- Enter the global defence supply chain
Key Challenges Ahead
- Full platform indigenisation still requires localisation of remaining small components
- Need for multiple domestic suppliers to ensure stable supply chains
- Continuous R&D required to match global engine standards
Recent reports also highlight efforts to indigenise remaining critical components for complete self-reliance.















